BERNARD L. MADOFF INVESTMENT SECURITIES LLC

DATE OPENED

1960 — New York, New York

DATE CLOSED

December 11, 2008

KNOWN ALIASES

BLMIS; the seventeenth floor

INVESTIGATOR

Det. Redact

CAUSE OF DEATH

Subject reported the same steady return for decades. There were no trades.

PEAK VALUATION

$64,800,000,000 in reported client balances (November 2008)

ASSETS RECOVERED

$14,800,000,000 returned to victims by the trustee, much of it recovered from those who withdrew early

EVIDENCE SUMMARY

Subject’s client statements were produced on an old IBM computer kept on the seventeenth floor for the purpose. The trades on them did not exist.

Subject’s auditor was a three-person firm in a suburban strip mall, with one active accountant.

Regulators received six substantive complaints over sixteen years. None led to anyone checking a single trade.

Remainder of statement sealed:

RECONSTRUCTION — FINAL YEARS

DATEENTRYREMARKS

MAY 2001

Barron’s asks how one fund returns the same steady number every year. The firm won’t explain its strategy. Money keeps coming.

NOV 2005

Roughly 1% a month, almost no losing months in fifteen years. Feeder funds market it as low risk.

2008

Stocks lose more than a third of their value in a year. Madoff reports a gain.

DEC 11, 2008

FBI arrests Bernard Madoff. The complaint says he told two senior employees, reported to be his sons, it was ‘all just one big lie.’

JUN 29, 2009

Sentenced to 150 years.

DESK NOTE — INVESTIGATING OFFICER

Same number. Every month.

FILED BY Det. Redact · BADGE 0001NO FURTHER ACTION AUTHORIZED

PROPERTY OF THE BUREAUDO NOT REMOVE FROM ROOM 0114

MARGIN NOTE — INVESTIGATING OFFICER

Every month for decades, a small, steady gain. Nothing in this world is that steady. I know because I have tried to be.

EXHIBIT A — recovered at the scene.

EVIDENCE TAG

ITEM M-1211
SUBJECT BERNARD L. MADOFF INVESTMENT SECURITIES LLC
RECEIVED 2008
CONDITION AS FOUND